British American Tobacco Stock (NYSE:BTI): Ridiculously Cheap, Yielding 9.7%

If someone tells you that there aren’t any bargains to be had in today’s market, they aren’t looking hard enough. Take British American Tobacco (NYSE:BTI), for example. I’m bullish on the London-based tobacco and nicotine products giant, as it trades for an insanely cheap valuation, features a monster dividend yield, and has a business model that, while facing challenges, has stood the test of time for well over a century.

Scrap Heap Valuation 

Shares of BTI trade at a ridiculously cheap valuation of just 6.6 times earnings. This is a profound discount to the broader market. The S&P 500 (SPX) currently has a valuation of about 19 times earnings.